CFTC bid to vacate order against Winklevoss' crypto exchange 'very unusual,' ex-agency chief says
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- CFTC asked a New York federal court to vacate the Jan 2025 consent order against Gemini, which imposed a $5 million civil penalty and an injunction barring false statements to the agency.
- Tim Massad, former CFTC chair, called the agency’s attempt to overturn its own order “very unusual” and said enforcement cases were only brought when strong on the merits.
- Michael Selig, the current CFTC chair and Trump appointee, leads the agency now seeking to withdraw the order after a comprehensive review.
- Gemini attorney Avi Perry said the case “should never have been brought” and thanked the CFTC for joining the effort to correct the wrong.
- Winklevoss twins Tyler and Cameron, founders of Gemini and donors to Trump’s 2024 campaign, are linked to the exchange at the center of the dispute.
Why it matters: Gemini stands to shed the $5 M penalty and injunction, easing its compliance costs, while the CFTC’s reversal signals a softer enforcement stance under Trump appointee Michael Selig, benefiting crypto firms and critics of prior rulings.
